| Schedule of expense or (benefit) for income taxes |
|
|
Year Ended December 31, |
|
|
|
2022 |
|
|
2021 |
|
Current income tax expense (benefit) |
|
|
|
|
|
|
|
|
U.S. federal |
|
$ |
(50,000 |
) |
|
$ |
— |
|
| U.S. state |
|
|
2,827 |
|
|
|
4,300 |
|
Foreign |
|
|
6,308 |
|
|
|
6,270 |
|
Total current income taxes |
|
|
(40,865 |
) |
|
|
10,570 |
|
Deferred income tax benefit |
|
|
|
|
|
|
|
|
U.S. federal |
|
$ |
(675,290
|
) |
|
$ |
(2,274,295
|
) |
U.S. state |
|
|
— |
|
|
|
— |
|
Total deferred income benefit |
|
|
(675,290
|
) |
|
|
(2,274,295
|
) |
| Total income tax benefit |
|
$ |
(716,155
|
) |
|
$ |
(2,263,725
|
) |
|
| Schedule of statutory federal income tax rate to actual rates based on income or loss before income taxes |
|
|
Year Ended December 31,
|
|
|
|
2022 |
|
|
2021 |
|
Income tax expense (benefit) attributable to: |
|
|
|
|
|
|
Federal |
|
$ |
(16,749,778 |
) |
|
$ |
(6,692,267 |
) |
State, net of federal benefit |
|
|
(853,392 |
) |
|
|
(672,148 |
) |
| Foreign tax rate differential |
|
|
(11,543 |
) |
|
|
(138,292 |
) |
| Permanent differences |
|
|
472,270 |
|
|
|
(230,034 |
) |
| Goodwill impairment |
|
|
9,172,756 |
|
|
|
2,658,665 |
|
| Rate changes |
|
|
(992
|
) |
|
|
54,295 |
|
Changes in valuation allowance |
|
|
7,501,917 |
|
|
|
3,361,603 |
|
| Provision to return adjustment |
|
|
62,788 |
|
|
|
273,489 |
|
| Deferred true-ups |
|
|
(247,839
|
) |
|
|
(928,743
|
) |
Other adjustments |
|
|
(62,342 |
) |
|
|
49,707 |
|
| Effective income tax expense (benefit) |
|
$ |
(716,155 |
) |
|
$ |
(2,263,725 |
) |
| The following table sets forth our deferred income tax assets and liabilities: |
|
|
|
|
|
As of December 31, |
|
|
|
2022 |
|
|
2021 |
|
Noncurrent deferred tax assets: |
|
|
|
|
|
|
Employee compensation |
|
$ |
136,154 |
|
|
$ |
820,410 |
|
| Debt issuance costs |
|
|
39,381 |
|
|
|
138,778 |
|
| Revenue recognition |
|
|
64,662 |
|
|
|
105,735 |
|
| Settlement accrual |
|
|
178,549 |
|
|
|
146,604 |
|
| Fixed assets |
|
|
774,936 |
|
|
|
242,006 |
|
| Section 174 capitalization |
|
|
1,121,311 |
|
|
|
— |
|
Federal and state net operating loss |
|
|
13,860,338 |
|
|
|
10,673,908 |
|
| Foreign net operating loss |
|
|
4,641,293 |
|
|
|
4,904,857 |
|
Other |
|
|
280,430 |
|
|
|
225,340 |
|
Total deferred tax assets |
|
$ |
21,097,054 |
|
|
$ |
17,257,638 |
|
|
|
|
|
|
|
|
|
|
| Noncurrent deferred tax liabilities: |
|
|
|
|
|
|
|
|
| Intangible assets
|
|
|
(1,713,666 |
) |
|
|
(6,051,459 |
) |
| Total deferred tax liabilities
|
|
$ |
(1,713,666 |
) |
|
$ |
(6,051,459 |
) |
Valuation allowance |
|
|
(19,383,388 |
) |
|
|
(11,881,470 |
) |
Deferred tax asset (liability), net after valuation allowance |
|
$ |
— |
|
|
$ |
(675,291 |
) |
|